Welcome Guest. Register Now!  



Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1 (permalink)  
Old 07-10-2010, 09:40 PM
Junior Member
 
Join Date: Jul 2010
Posts: 2
withholding number

Hi
I am married with 2 kids. My husband and me maintain own finances and contribute equally for house and kids. But everytime we file taxes under 'married and filing jointly', with him as head of household and he keeps the IRS refund with him.
What number should I keep for state and federal withholding, so my tax will be withheld just enough, without any refund or having to pay further tax.
I do not want to raise this issue with my husband as it will surely lead to a big fight.
Also- will I lose more money if we file 'married but filing seperately' status?
Me and my husband ear around 200K per year each.
Thank you very much!



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #2 (permalink)  
Old 07-11-2010, 10:47 PM
TaxGuru's Avatar
Tax Guru
 
Join Date: Jan 2007
Location: New Jersey, USA
Posts: 2,400
Blog Entries: 3
I would try and minimise your Federal and State withholding by claiming a higher number of exemptions on your W-4! If you have been claiming say 4 exemptions in 2009, try and increase this to 5 or 6! At least from your standpoint, you would be minimizing your taxes.

Now, alternatively, your CPA would need to get your signature for E-File authorization. At that time, you can request that the tax refund be split evenly between you and your husband. Your share of tax refund (50%) will then go directly into your bank account, so you never have to ask your husband for the money. This might be the best course of action, as your CPA would have to comply with your wishes in order to E-file the tax return.

__________________
Find a CPA near you!

Ask TaxGuru Please refer to the legal disclaimer.


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #3 (permalink)  
Old 07-12-2010, 07:32 PM
Junior Member
 
Join Date: Jul 2010
Posts: 2
Thank you for ur reply, My husband does not use a CPA, does thru tax act online, also I tried increasing the number to three before, but then I had to pay more taxes, after filing. What is the number which would be just exact, so I do not get any refund and also I do not need to pay anymore taxes?
Thank you!



Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #4 (permalink)  
Old 07-15-2010, 09:07 AM
Junior Member
 
Join Date: Jun 2010
Posts: 11
There is probably no way to get it exact based upon the # of exemptions. You might be able to get pretty close by specifying an exact dollar amount. In order to do so, you would need to sit down with someone and go over your situation in great detail. In my view, if someone is within +-$500 some tax filing they did about as good as they can.

Adam


Last edited by TaxGuru : 07-15-2010 at 11:31 PM.


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
  #5 (permalink)  
Old 07-15-2010, 09:14 AM
Junior Member
 
Join Date: Jun 2010
Posts: 11
There is little chance that you will get it exact- especially just based off exemption numbers. You might be able to get closer by specifying an exact dollar amount. In my view you did a great job if you are +-$500. The easiest way to get that close is to sit down with a tax professional. Good luck.

Adam


Last edited by TaxGuru : 07-15-2010 at 11:30 PM.


Digg this Post!Add Post to del.icio.usBookmark Post in TechnoratiFurl this Post!Reddit! stumble!bookmark in google!Share on Facebook!
Reply With Quote
Ads
Reply



Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

vB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
1040A Simiplified Method - Negative Number? chambo IRA/Sep 0 03-21-2010 05:14 PM
When should a "Sole Proprietor" require a Tax ID Number? TaxGuru Sole-Proprietorship 0 09-11-2008 06:27 PM
AMT and withholding mytax101 Alternative Minimum Tax 1 03-03-2008 02:40 PM
When would an LLC need to apply for a separate Federal ID number? Robbie Limited Liability Company 1 09-27-2007 09:46 AM

Follow us on Facebook Follow us on Twitter Google Buzz Rss Feeds

» Categories
 
Individual
 » Income
 » IRA/Sep
 » Medical
 
Corporations
 » Payroll
 
Forum for CPAs
 
Financial Planning